There’s a saying in real estate: “The house you fell in love with today, thought about tonight, and decided to write an offer on tomorrow… someone else saw yesterday.”
Finding the right house can be challenging. Really! Keeping track of the market, fine-tuning your wishlist, zeroing in on the pricing, etc. And while everything is slowly coming together, the perfect house might slip through your fingers. You’ll be okay.
Here’s what you can do:
- Fine tune your wish list. Figure out what is going to work for you, and what might be a deal killer. Allow yourself a little flexibility. Nothing is going to be absolutely perfect.
- Don’t assume sellers are going to be happy with a home sale contingency. If the bank advises you to sell your current home before buying a new one, consider putting your current place on the market before shopping around.
- Get your financial house in order. Make sure you are approved for a bank loan before looking for a new house. Check in with your bank on a regular basis to see if they have made any changes. Maybe there’s a new loan program they’ve just introduced that will allow you to buy something otherwise out of your reach. Also, that new car you just bought on a whim? Might make it difficult to stretch. Keep a copy of your pre-approval letter on hand, and be sure to get an updated letter after 90 days.
- Consider an Escalation Clause or a Pre-inspection. These important factors in multiple-bid situations. An escalation clause allows you to top the best offer up to a specific cap, which you determine. Pre-inspections allow you to eliminate a home inspection contingency and head into a competitive situation with your eyes wide open. Sellers love this.
- Know the market. Your real estate agent will provide you with up-to-date info on comparable sales in the area. This will help you arrive at the right price and help set boundaries.
- The most important advice is this: Be prepared to jump in and make an offer, especially if you like it! Good houses don’t stick around, at least not in this market.